This week our listings saw an average of 3.1 showings each and contract activity is really heating up. Buyers only have 31 days left to seal a deal and still qualify for either of the two tax credits currently available. Right now there are no signs that these credits will be extended.
Last week we sent out our monthly E-Newsletter which published the real estate market stats for Mecklenburg County in February. Here’s a brief summary when comparing February 2010 sales to the same month last year:
Home sales were up 4.3%
Average sales price was up 11%
Average time on market was up 2%
Pending home sales were up a whopping 42%
Housing supply was up 12%
Mortgage rates have fluctuated some but remain relatively flat.
The numbers above are not that impressive. Don’t be discouraged! The biggest indicator to point out above is the huge jump in pending home sales. That number is up 42% over last year. I for one, remember very clearly that the dynamic in February 2009 was one of fear and panic. No one really knew what was happening and home buyers all but disappeared. Because of this situation, pending home sales plummeted. Now that we are recognizably back on the road to recovery, confidence has returned and buyers are getting back in the game. The expiration of the tax credits on April 30 has boosted this effect and the result has been a huge surge in contracts.
Today, just one week since my newsletter was published, the pending home sales have increased another 7%. While the February 2010 home sales numbers were really not much of an improvement over last year, expect to see a huge jump in the numbers for March. As of today, we can already see a 45% increase in the number of home sales over last month alone. This is a huge number especially considering that many buyers schedule their closings for the last few days of the month. So many of the March sales may not have even been reported yet.
For the last year, I warned that the window of opportunity for getting great real estate deals is closing. Over the next few months, that prediction will become reality. Stay tuned for the next report of monthly statistics. As home sales continue to surge, we will eventually begin to see a decrease in supply. When that occurs, we may finally start to see some upward price movement in Charlotte.